The wage increase would jeopardise labour relations, cause a reduction in the agriculture sector work force, and create a "climate for inflation" that would impact on consumers, it said in a statement.

The Transvaal Agricultural Union (TAU SA) said the increase was the result of "undue pressure and intimidation by seasonal workers", adding that this created "a precedent for future actions in other sectors". This would jeopardise labour relations.

"Secondly, small and emerging farmers in particular, certainly cannot afford these wages.
[There are] concerns in certain industries [they] will not be able to pay these wages ... They will have no other choice but to reduce their workforce for the sake of financial survival."

With its announcement, government was aiding the creation of a climate for inflation "by approving several increases which will ultimately have a negative effect on consumers".